Abbott Laboratories (ABT) vs GE HealthCare Technologies Inc. (GEHC)

Abbott Laboratories and GE HealthCare Technologies Inc. are both Medical Devices companies. Abbott Laboratories is the larger, with a market value of $174.8B against $29.9B — 5.9× the size. GE HealthCare Technologies Inc. trades at the lower P/E: 15.3× against 32.8×. Abbott Laboratories grew revenue faster over the last twelve months: 8.06% against 6.51%. Abbott Laboratories has the higher net margin (11.7% vs 9.33%) and the lower return on invested capital (5.83% vs 8.37%). Both pay a dividend; Abbott Laboratories yields more (1.88% vs 0.13%). Across the 23 metrics below, Abbott Laboratories leads on 12 and GE HealthCare Technologies Inc. on 11.

Valuation

Metric ABT GEHC Medical Devices median
P/E 32.78 15.28 22.18
P/S 3.78 1.42 2.70
P/B 3.41 2.75 2.46
Price to free cash flow 22.53 19.12 22.53
EV/EBITDA 18.84 11.85 11.78
EV/Sales 4.36 1.86 2.38
Earnings yield 3.05% 6.54% (8.22%)
Free cash flow yield 4.44% 5.23% (7.80%)

Profitability

Metric ABT GEHC Medical Devices median
Gross margin 56.61% 39.54% 56.01%
Operating margin 15.77% 12.86% (15.03%)
Net margin 11.65% 9.33% (20.40%)
Free cash flow margin 16.80% 7.42% (7.24%)
Return on equity 10.58% 19.15% (15.32%)
Return on assets 5.62% 5.45% (19.72%)
Return on invested capital 5.83% 8.37% (10.33%)

Growth

Metric ABT GEHC Medical Devices median
Revenue growth (TTM) 8.06% 6.51% 8.80%
EPS growth (last fiscal year) (51.31%) 4.84% —
Revenue growth, 5-year CAGR 5.08% 3.74% 15.23%
Net income growth, 5-year CAGR 7.74% (31.53%) 0.00%

Health

Metric ABT GEHC Medical Devices median
Debt to equity 0.63 1.05 0.07
Current ratio 1.38 1.26 2.50
Net debt to EBITDA 0.36 2.14 0.49

Dividend

Metric ABT GEHC Medical Devices median
Dividend yield 1.88% 0.13% 0.94%
Payout ratio 0.67 — 0.00

Size

Metric ABT GEHC Medical Devices median
Market cap 174.77b 29.86b 172.91m

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